New Delhi: Gold prices surged by ₹2,100 to a record ₹1,03,670 per 10 grams in the national capital on Friday, marking the fourth straight session of gains. Analysts attribute the sharp rise to persistent buying by stockists, a weaker rupee, and heightened global uncertainties, which boosted the yellow metal’s safe-haven appeal.

Surge in Gold Prices

According to dealers, gold of 99.9% purity, which closed at ₹1,01,570 per 10 grams on Thursday, scaled a fresh lifetime high on Friday. Similarly, gold of 99.5% purity rose by ₹2,100 to ₹1,03,100 per 10 grams, inclusive of taxes. These prices surpassed the previous records of ₹1,03,420 and ₹1,03,000, respectively, achieved on August 8.

Saumil Gandhi, Senior Analyst – Commodities at HDFC Securities, said,

“Gold prices witnessed a sharp gain, supported by a weaker rupee and a positive trend in global markets. The Indian rupee hitting an all-time low has added to concerns over the impact of steep US tariffs on India’s GDP.”

Rupee Breaches 88-Mark

The rupee depreciated by 61 paise to close at a record low of 88.19 per dollar, further intensifying safe-haven demand. Market participants pointed to growing anxiety over US-India trade tensions and their potential impact on the economy as another factor driving the gold rally.

Futures Market Reaction

On the Multi Commodity Exchange (MCX), October gold futures rose ₹713 or 0.70% to ₹1,02,813 per 10 grams, while December contracts gained ₹702 or 0.68% to ₹1,03,849.

Silver prices, however, witnessed mild correction after scaling record levels a day earlier. Spot silver dropped ₹1,000 to ₹1,19,000 per kg, down from ₹1,20,000, while MCX September contracts rose ₹651 to ₹1,17,825 and December contracts added ₹641 to ₹1,19,285.

Global Trends and Investor Outlook

In the international market, spot gold traded steady at $3,407.39 an ounce in New York, while silver slipped 0.52% to $38.84.

Renisha Chainani, Head of Research at Augmont, noted,

“Gold prices rose after safe-haven demand grew on concerns that political pressure on the US Federal Reserve could accelerate interest rate cuts.”

Trivesh D, COO at Tradejini, highlighted that silver remains attractive due to strong industrial demand.

“Silver is hovering near $39.60 an ounce, and if this resistance level is breached, prices could rise towards $44, offering a potential 12% upside,” he said.

Weekly Performance

Gold prices have climbed ₹3,300 or 3.29% during the week, extending their upward momentum and underlining investor preference for precious metals amid volatile global markets.

Outlook

Analysts suggest that bullion prices may continue to remain firm in the near term, with investors awaiting the release of the US PCE Price Index, the Federal Reserve’s preferred inflation gauge, which could shape future monetary policy and commodity sentiment.